Out Fox The $treet

After watching a Mad Money feature on little known Key Energy Services (KEG), it got me to wondering what other oil service plays I didn't really know. Everybody has heard of the big players in the sector such as Haliburton (HAL), Schlumberger (SLB), and Baker Hughes (BHI). What about the second tier companies? Hydraulic fracturing and horizontal drilling remain all the rage, even with natural gas prices plunging to 10 year lows this year. Even with expected rigs drilling for natural gas declining, it wouldn't be surprising to see them move directly into oil shale plays as oil remains around $100. Not to mention one needs to be careful when focusing on the current price of natural gas as future prices on the NYMEX remain in the $4-5 range. Read full story on Seeking Alpha. Disclosure: Long CJES. Please review the disclaimer page for more details

Early Monday morning, Superior Energy Services ( SPN )  agreed to merge with Complete Production Services ( CPX ) by paying a 61% premium over Friday's selling price. According to the press release, the combination creates a premier diversified mid-cap oilfield services company. In essence, SPN wanted scale in order to compete successfully with the likes of Haliburton ( HAL ) and Schlumberger ( SLB ) in the fast growing hydraulic fracturing market in the US and enhanced size to grow internationally. Not to mention that the huge sell-off in CPX stock over the last few months provided an attractive entry point. CPX peaked over $42 in July and hasn't even cracked above $30 with this huge premium offered. Read the full article at Seeking Alpha. Disclosure: Long CJES. Please review the disclaimer page for more details.